Drag Drop not working

Hi,
I have a requirement to develop a mspaint like application using WinForms and C#.
For this i have created a User control which inherits from Toolbar and added few controls like label,button just to test the application.
And have added this toolbar to the left panel of the form.
And have placed a panel in the remaining part of the form.


The problem i'm facing now is that,onclicking and dragging the button from the toolbar and dragging it to panel is now working.

Can anyone please tell how this can be implemented.i.e, dragging a button control form one panel to another panel which are in the same form.


Thanks,
Shilpa